Understanding the Terms of Your Manufacturer Warranty

When you purchase a car, you want to be confident about its quality. Automakers might offer a manufacturer warranty with your purchase. This is typically included in the price of your new vehicle. Your warranty should include details about how the carmaker will handle any problems with your vehicle. There are many variables that can affect the car warranty, such as vehicle type, warranty type, and manufacturer.

All About Manufacturer Warranty

A warranty is usually offered by manufacturers when you purchase large items like cars. This guarantees that the company is committed to its product and will resolve any problems. Often, this can be done through replacement, repair, or refund.

The warranty provided by the manufacturer may cover major components of the vehicle such as the air conditioner, battery, and seat belts. The manufacturer’s warranty may also cover your leased vehicle if you lease it.

Vehicle Limited Warranty

Most new cars come with a 3-year/36,000-mile manufacturer warranty. This covers any items that fail. Most systems that fail due to normal wear and tear or routine maintenance items are not covered.

Powertrain Limited Warranty

The warranty on powertrains typically lasts for five years, or up to 60,000 mi (whichever comes first). The powertrain of your car typically includes the engine and transmission components.

You should carefully prepare your manual. This will tell you what is and is not covered under your car warranty. The 2019 Toyota Camry booklet lists the conditions under which its New Vehicle Warranty is not applicable to repairs.

  • Accidents, fire, and theft
  • Abuse or negligence
  • Misuse (like racing)
  • Inadequate repairs, such as fixing something yourself and doing things incorrectly
  • Modification or tampering with non-Toyota accessories
  • Inadequate or incorrect maintenance (such as using the wrong fuel or fluids)
  • Installation of parts that are not Toyota
  • Chemicals that are emitted from the air, tree sap, road debris, and rail dust, as well as salt, hail, flooding, wind storms, and lightning that can be found in the environment
  • Water contamination
  • Normal wear and tear

A separate warranty can be given for tires that are not included in the regular limited warranty on new cars.

Manufacturer’s Warranty vs Extended Warranty

The manufacturer’s warranty covers certain things that are guaranteed by the carmaker. It’s often included in the price of the car. If it is, it ends after a set amount of time or after you have driven a specified number of miles.

Extended warranties are sometimes referred to as service contracts. They don’t technically constitute a warranty under federal law. The extended warranty costs are usually added to the vehicle’s price and don’t typically include regular maintenance.

Ask your dealer in writing before you purchase an extended warranty. They will be able to tell you what is covered and what costs may be for repairs without it. It might not be worthwhile.


It is important to understand your manufacturer warranty & extended warranty coverage if you purchase a new or used vehicle. You should carefully read the dealer’s contract. It details the dealer’s liability. This will give you a better understanding of your coverage and what you might have to do to cover the cost of a costly repair.

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